Top-tier financial entities have reportedly forged an alliance to create EDX Markets (EDXM), a new exchange dedicated to the trading of crypto assets via trusted intermediaries. 

Specifically, the exchange will offer services to institutional and retail investors. 

The new exchange will receive the backing from Charles Schwab, Citadel Securities, Fidelity Digital Assets, Paradigm, Sequoia Capital and Virtu Financial. 

Jamil Nazarali has reportedly taken up a new CEO role in the firm from Citadel Securities, where he took charge as the global head of business development.

“Crypto is a $1 trillion global asset class with over 300 million participants and pent-up demand from millions more. […] Unlocking this demand requires a platform that can meet the needs of both retail traders and institutional investors with high compliance and security standards.” The EDXM board of directors, made up of representatives of the founding members, additionally remarked. 

Galaxy Digital CEO Mike Novogratz recently shared signals sharing Fidelity’s initiative to tap into retail cryptocurrency trading. Citadel Securities founder Ken Griffin has been a vocal critic of crypto in the pastbut has become more accepting of digital assets in recent months.

EDXM is reportedly going to carry out trade settlements on a blockchain via a network of digital custodians. It claimed in a statement that the exchange will “remove significant conflicts of interest that affect existing cryptocurrency exchanges by separating responsibility for operating the exchange from the entities trading on it.”

Furthermore, the exchange shared a promis that “a highly liquid cryptocurrency ecosystem that aggregates liquidity from multiple market makers to reduce spreads and improve transparency.” 

Paradigm has reportedly also forged an alliance with FTX to offer spreads trading of eight cryptocurrencies.